Chief Executive Boards International

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Leaders:
Strategies for Taking Charge
by

Warren Bennis and Burt Nanus

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I. Six Important Considerations Concerning Leadership

A. Leadership is about character 1. Most leaders who are derailed are derailed by lack of good judgment or poor character and not by poor technical knowledge, poor people skills or poor track record

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I. Six Important Considerations Concerning Leadership

B. Leaders must be instrumental in creating a social architecture capable of generating intellectual capital 1. Organizations, especially today, are about ideas, innovation, imagination, creativity intellectual capital 2. Leaders need to create structure that releases brain power

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I. Six Important Considerations Concerning Leadership

C. Leaders have a strong determination to achieve a goal or realize a vision 1. The purpose has to communicate meaning and relevance to the followers or else it is meaningless The capacity to generate and sustain trust is the central ingredient in leadership 1. Trust is hard to gain and easy to lose

D.

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I. Six Important Considerations Concerning Leadership

E. Leaders have an uncanny way of enrolling people in their vision through their optimism 1. They believe they can change the world 2. Leaders are dealers in hope: Confucius

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I. Six Important Considerations Concerning Leadership

F. Leaders have a bias towards action that results in success 1. Leaders translate vision and purpose into reality 2. You miss one hundred percent of the shots you dont take. Wayne Gretzky

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II. The Context of Leadership Today

A. Commitment 1. The challenge of commitment a. Fewer than 1 out of every 4 job holders say they are working at full potential b. One half say they do not put effort into their job over and above what is required to hold their job c. 75 percent say they could be significantly more effective than they are d. 6 out of 10 Americans say they do not work as hard as they used to 2. Leaders have failed to inspire workers through empowerment

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II. The Context of Leadership Today

B. Complexity 1. The problems of organizations are increasingly complex Credibility 1. The credibility of leaders is being challenged more and more a. Impeach someone bumper sticker b. Dont vote. It will only encourage them.

C.

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology

High tech/High touch

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy

High tech/High touch

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy

High tech/High touch

Global economy

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term

High tech/High touch

Global economy

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term

High tech/High touch

Global economy Long term

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term Decentralization

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term Decentralization

Institutional help

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term Decentralization

Institutional help

Self-help

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term Decentralization

Institutional help
Representative democracy

Self-help

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term Decentralization

Institutional help
Representative democracy

Self-help
Participatory democracy

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term Decentralization

Institutional help
Representative democracy Hierarchies

Self-help
Participatory democracy

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term Decentralization

Institutional help
Representative democracy Hierarchies

Self-help
Participatory democracy Networking

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term Decentralization

Institutional help
Representative democracy Hierarchies North

Self-help
Participatory democracy Networking

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term Decentralization

Institutional help
Representative democracy Hierarchies North

Self-help
Participatory democracy Networking South

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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term Decentralization

Institutional help
Representative democracy Hierarchies North

Self-help
Participatory democracy Networking South

Either/or
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III. New Paradigms Are Arising

A. 10 mega trends according to John Naisbitt
From Industrial society To Information society

Forced technology
National economy Short term Centralization

High tech/High touch

Global economy Long term Decentralization

Institutional help
Representative democracy Hierarchies North

Self-help
Participatory democracy Networking South

Either/or
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Multiple options

IV. Management vs. Leadership

A. Management 1. To bring about 2. To accomplish 3. To have charge of or responsibility for 4. To conduct Leadership 1. Influencing 2. Guiding in direction, course, action, opinion Managers are people who do things right -Leaders are people who do the right thing

B.

C.

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V. Wall Street Journal Ad by United Technologies Corporation

A. B. C. People dont want to be managed, they want to be led Whoever heard of a world manager? World leader, yes If you want to manage someone, manage yourself

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VI. Study of 90 Successful Leaders in Private and Government Sectors

A. A wide variety of leaders 1. Some right-brained and some left brained 2. Some tall, some short 3. Some fat, some thin 4. Some articulate, some inarticulate 5. Some assertive, some retiring 6. Some dressed for success, some dressed for failure 7. Some participative, some autocratic a. One said he believed in participative fascism

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VII. Four Areas of Competency That All Those Leaders Who Were Studied Exhibited
A. Strategy I: Attention through vision
1. All 90 leaders who were interviewed had a highly focused agenda a. They had a clear vision and were able to communicate that vision b. They could convince their followers that the goal and vision were attainable 2. Leadership is a transaction -- a transaction between leaders and followers a. Neither could exist without the other
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VII. Four Areas of Competency That All Those Leaders Who Were Studied Exhibited
B. Strategy II: Meaning through communication
1. The management of meaning, mastery of communication, is inseparable from effective leadership 2. Leaders communicate know why rather than know how

C. Strategy III: Trust through positioning

1. Trust implies accountability, predictability and reliability 2. Leaders are relentless in their quest of their vision
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VII. Four Areas of Competency That All Those Leaders Who Were Studied Exhibited
3. Leaders are persistent -- Calvin Coolidge said: Nothing in the world can take the place of persistence Talent will not; nothing is more common than unsuccessful men with great talent Genius will not; unrewarded genius is almost a proverb Education will not; the world is full of educated derelicts Persistence, determination alone are omnipotent
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VII. Four Areas of Competency That All Those Leaders Who Were Studied Exhibited
4. Positioning is the set of actions necessary to implement the vision of the leader

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VII. Four Areas of Competency That All Those Leaders Who Were Studied Exhibited
D. Strategy IV: The deployment of self through positive self-regard
1. Recognizing strengths and compensating for weaknesses is the first step in achieving positive self-regard a. Leaders usually know what they are good at from an early age 2. The second element in positive self-regard is the nurturing of skills with discipline

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VII. Four Areas of Competency That All Those Leaders Who Were Studied Exhibited
3. The third element in positive self-regard is the fit between personal strengths and organizational requirements a. Leaders know when there is no fit

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VIII. Leaders Have Emotional Wisdom

1. The ability to accept people as they are, not as you would like them to be 2. The capacity to approach relationships and problems in terms of the present rather than the past 3. The ability to treat those who are close to you with the same courteous attention that you extend to strangers and casual acquaintances
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VIII. Leaders Have Emotional Wisdom

4. The ability to trust others, even if the risk seems great 5. The ability to do without constant approval and recognition from others

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IX. Leaders Dont Fear Failure

A. They use synonyms such as mistake, glitch, false start, setback and error 1. Leaders welcome mistakes as learning opportunities 2. Whenever I make a bum decision, I just go out and make another one. B. The only time Karl Wallenda feared falling from the high wire, he fell to his death 1. His goal that day was not to walk the wire, but rather to not fall
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IX. Leaders Dont Fear Failure

C. When Tom Watson, the founder of IBM, was asked if he was going to fire an executive who had just lost $10 million on a project, he said: You cant be serious. Weve just spent $10 million educating him.

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X. Empowerment
A. B.
C. D.

Empowerment does not involve releasing power Empowerment gives followers an opportunity to develop Empowerment gives followers a sense of family and community Empowerment creates a culture of fun

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XI. Focusing Attention: Gaining Attention

A. Vision cannot be established in an organization by edict, or by the exercise of power or coercion 1. It is more an act of persuasion Leaders often communicate vision by using metaphors 1. A chicken in every pot 2. Reach out and touch someone

B.

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XI. Focusing Attention: Gaining Attention

C.
D.

Leaders communicate their vision by consistently acting on it and personifying it Followers must feel they see the vision

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Organizational Alignment
Cost

Wal-Mart

Quality
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Service

Organizational Alignment
Cost

Target

Quality
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Service

Organizational Alignment
Cost

K-Mart

Quality
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Service

Question
How effectively and consistently is my organization aligned with my vision?

OR
How could I be more effective and consistent at defining, articulating and communicating my vision to my organization?
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XII. Four Strategies Leaders Use to Position Their Organization

A. Reactive 1. Leaders wait for change and react after the fact Change the internal environment 1. Leaders develop effective forecasting procedures to anticipate change and then proact rather than react a. The toy industry uses orders received from January to March as forecasts of Christmas sales.

B.

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XII. Four Strategies Leaders Use to Position Their Organization

C. Change the external environment 1. Leaders anticipating change act upon the environment itself to make the change congenial to their needs. a. This can be done through advertising, publicity, lobbying efforts, etc.

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XII. Four Strategies Leaders Use to Position Their Organization

D. Establish a new linkage between the external and internal environments 1. This can be done by establishing new linkages through vertical integration, mergers and acquisitions, or innovative systems design

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XIII. Personal Qualities Needed for Leaders

A. When the 90 leaders interviewed were asked what personal qualities were needed to be a leader they never mentioned charisma, dressing for success or time management. They mentioned : 1. persistence and self-knowledge 2. a willingness to take risks and accept losses 3. commitment, consistency, challenge 4. a desire to learn

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XIV. Myths of Leadership

A. B. Leadership is a rare skill 1. Everyone has some leadership skills Leaders are born, not made 1. Although it is not easy to learn to be a leader, the skills are learnable Leaders are charismatic 1. Of the 90 leaders studied, few were charismatic

C.

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XIV. Myths of Leadership

D. Leadership exists only at the top of an organization 1. More and more large organizations are creating small, relatively autonomous units that require leaders

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Question

Who are my subordinate leaders?

AND
How effectively do they lead?

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XIV. Myths of Leadership

E. The leader controls, directs, prods, manipulates 1. Leadership is not so much the exercise of power itself as the empowerment of others 2. Leaders teach followers how good they are a. Pulling vs. Pushing b. Inspiring vs. Ordering c. Creating achievable, challenging & inspiring expectations d. Rewarding progress e. Enabling people to use their own initiative and experiences

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Organizational Movement
Increase Pull and reduce Friction by:
Inspiring Rewarding Enabling

Push

Pull
Friction Friction

OR

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Organizational Movement
Increase Pull and reduce Friction by:
Inspiring Rewarding Enabling

Push

Pull
Friction Friction

OR
Move in smaller pieces

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Question
How can I increase Pull

OR
reduce Friction in my organization?

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XV. Likely Model of TwentyFirst-Century Leadership

From
Few leaders, mainly at the top; many managers

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XV. Likely Model of TwentyFirst-Century Leadership

From
Few leaders, mainly at the top; many managers

To
Leaders at every level, fewer managers

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XV. Likely Model of TwentyFirst-Century Leadership

From
Few leaders, mainly at the top; many managers Leading by Goal-setting; e.g., near-term profits, ROI

To
Leaders at every level, fewer managers

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XV. Likely Model of TwentyFirst-Century Leadership

From
Few leaders, mainly at the top; many managers

To
Leaders at every level, fewer managers

Leading by Goal-setting; Leading by vision e.g., near-term profits, ROI creating new directions for long-term business growth

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XV. Likely Model of TwentyFirst-Century Leadership

From
Few leaders, mainly at the top; many managers

To
Leaders at every level, fewer managers

Leading by Goal-setting; Leading by vision e.g., near-term profits, ROI creating new directions for long-term business growth

Downsizing, benchmarking for low cost, high quality

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XV. Likely Model of TwentyFirst-Century Leadership

From
Few leaders, mainly at the top; many managers

To
Leaders at every level, fewer managers

Leading by Goal-setting; Leading by vision e.g., near-term profits, ROI creating new directions for long-term business growth

Downsizing, benchmarking Also creating domains of for low cost, high quality uniqueness, distinctive competencies
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XV. Likely Model of TwentyFirst-Century Leadership

From
Reactive/adaptive to change

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XV. Likely Model of TwentyFirst-Century Leadership

From
Reactive/adaptive to change

To
Anticipative/futurescreative

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XV. Likely Model of TwentyFirst-Century Leadership

From
Reactive/adaptive to change Designer of hierarchical organizations

To
Anticipative/futurescreative

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XV. Likely Model of TwentyFirst-Century Leadership

From
Reactive/adaptive to change Designer of hierarchical organizations

To
Anticipative/futurescreative Designer of flatter, distributed, more collegial organizations; leader as social architect

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XV. Likely Model of TwentyFirst-Century Leadership

From
Reactive/adaptive to change Designer of hierarchical organizations

To
Anticipative/futurescreative Designer of flatter, distributed, more collegial organizations; leader as social architect

Directing and supervising individuals

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XV. Likely Model of TwentyFirst-Century Leadership

From
Reactive/adaptive to change Designer of hierarchical organizations

To
Anticipative/futurescreative Designer of flatter, distributed, more collegial organizations; leader as social architect Empowering and inspiring individuals, but also facilitating teamwork

Directing and supervising individuals

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XV. Likely Model of TwentyFirst-Century Leadership

From
Information held by few decision makers

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XV. Likely Model of TwentyFirst-Century Leadership

From
Information held by few decision makers

To
Information shared with many, both internally and with outside partners

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XV. Likely Model of TwentyFirst-Century Leadership

From
Information held by few decision makers Leader as boss, controlling processes and behaviors

To
Information shared with many, both internally and with outside partners

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XV. Likely Model of TwentyFirst-Century Leadership

From
Information held by few decision makers

To
Information shared with many, both internally and with outside partners

Leader as boss, controlling Leader as coach, creating processes and behaviors learning organizations

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XV. Likely Model of TwentyFirst-Century Leadership

From
Leader as stabilizer, balancing conflicting demands and maintaining the culture

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XV. Likely Model of TwentyFirst-Century Leadership

From
Leader as stabilizer, balancing conflicting demands and maintaining the culture

To
Leader as change agent, creating agenda for change, balancing risks and evolving the culture and the technology base

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XV. Likely Model of TwentyFirst-Century Leadership

From
Leader as stabilizer, balancing conflicting demands and maintaining the culture Leader responsible for developing good managers

To
Leader as change agent, creating agenda for change, balancing risks and evolving the culture and the technology base

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XV. Likely Model of TwentyFirst-Century Leadership

From
Leader as stabilizer, balancing conflicting demands and maintaining the culture

To

Leader as change agent, creating agenda for change, balancing risks and evolving the culture and the technology base Leader responsible for Leader also responsible for developing good managers developing future leaders, serving as leader of leaders
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Question

How effectively (and how quickly) are we moving toward a 21st-Century model of leadership?

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Leaders:
Strategies for Taking Charge
by

Warren Bennis and Burt Nanus

We Share Ideas